Testimony issued by the General Accounting Office with an abstract that begins "Congress is considering expanding the number of federal agencies required to prepare audited financial statements to include all executive branch agencies that have budget authority of $25 million or more. The Federal Financial Management Improvement Act of 1996 builds on the Chief Financial Officers (CFO) Act by encouraging agencies to have systems that generate timely, accurate, and useful information with which to make informed decisions on an ongoing basis. The 26 non-CFO Act agencies that GAO surveyed reported that they anticipate significant benefits from audited financial statements."

Testimony issued by the General Accounting Office with an abstract that begins "The Department of Transportation (DOT) faces critical challenges in achieving its goals of ensuring the safe and efficient movement of people and goods and in making cost-effective investments in the nation's transportation infrastructure. Many of the challenges GAO identified at DOT are long-standing and will require sustained attention by the new administration and Congress. Although the Department has efforts under way to address the shortcomings of its programs, these activities have not been fully implemented. Their success will depend on a strong commitment from DOT's new leadership and a sustained effort to identify and address critical human capital issues. Finally, as they address the problems facing each of the individual components, given the myriad of demands for new resources, the new administration and Congress must think and act to ensure that their transportation decisions reflect an intermodal transportation strategy that addresses the most pressing national needs in a cost-beneficial manner. This testimony summarizes a January GAO report (GAO-01-253)."

Testimony issued by the General Accounting Office with an abstract that begins "The Department of Veterans Affairs (VA) spent $21 billion in fiscal year 2001 to treat 3.8 million veterans--most of whom had service-connected disabilities or low incomes. Since 1997, VA has used the Veterans Equitable Resource Allocation (VERA) system to allocate most of its medical care appropriation. GAO found that VERA has had a substantial impact on network resource allocations and workloads. VERA shifted $921 million from networks primarily in the northeast and midwest to networks in the south and west in fiscal year 2001. VERA, along with other VA initiatives, has provided an incentive for networks to serve more veterans. In GAO's view, VERA's overall design is a reasonable approach to allocating resources according to workloads. It provides a predetermined dollar amount per veteran served to each of VA's 22 health care networks. This amount varies depending upon the health care needs of the veteran served and local cost differences. However, GAO identified weaknesses in VERA's implementation. First, VERA excludes about one fifth of VA's workload in determining each network's allocation. Second, VERA does not account well for cost differences among networks resulting from variation in their patients' …

Testimony issued by the General Accounting Office with an abstract that begins "Medicare faces many challenges. The overarching issue is how to sustain the program for future generations. Meeting that challenge will require difficult decisions that will affect beneficiaries, providers, and taxpayers. However, the financing issue should not obscure other important challenges. Medicare's current cost-sharing arrangements do not encourage the efficient use of services without discouraging necessary care. Moreover, the lack of catastrophic coverage can leave some beneficiaries liable for substantial Medicare expenses. Finally, some aspects of Medicare's program management are inefficient and lag behind modern private sector practices. Changes in Medicare's program management could improve both the delivery of health care to beneficiaries and the program's ability to pay providers appropriately. Some view restructuring of the relationship between parts A and B as an important element of overall Medicare reform. Fundamentally, assessing the program as a whole is an important first step in addressing Medicare's challenges. Solutions to many of these challenges could be crafted without restructuring. However, restructuring may provide opportunities to implement desired reforms--with or without unifying the Hospital Insurance and Supplemental Medical Insurance trust funds--while undoubtedly raising issues that will have to be considered."

Testimony issued by the General Accounting Office with an abstract that begins "This testimony discusses GAO's recent work on U.S. nonproliferation programs and comments on S. 673--a bill to establish an interagency committee to review and coordinate such programs. GAO found that the U.S. programs have achieved some success, but more needs to be done to keep nuclear weapons, materials, and technologies out of the hands of terrorists and countries of concern. Furthermore, questions exist about how to sustain the security improvements being made. The Department of Energy (DOE) and the Department of State programs to employ weapons scientists face difficulty in conclusively demonstrating that they are preventing the spread of weapons-related knowledge and expertise. With respect to S. 673, there is some debate among officials about the need for more coordination of U.S. nonproliferation programs. On the basis of the findings of two independent commissions that recently examined these programs, GAO believes that more coordination would be helpful and that the legislation could serve as a vehicle to share information and best practices for addressing problems GAO identified. S. 673 could be strengthened by mandating development of an overarching strategic plan that clearly identifies overall goals, time frames for …

Testimony issued by the General Accounting Office with an abstract that begins "GAO discussed issues involving the Social Security Administration's (SSA) process for paying attorneys representing applicants for disability benefits, focusing on three areas of the attorney payment process: (1) the process itself, including the costs of processing the payments; (2) possible changes to the way the user fee is charged; and (3) changes being considered for the attorney fee payment process overall."

Testimony issued by the General Accounting Office with an abstract that begins "This testimony discusses the procedural and analytical rulemaking requirements applicable to the Occupational Safety and Health Administration (OSHA) and other federal regulatory agencies. GAO found that the rulemaking requirements that have been placed on OSHA and other agencies are voluminous and require a wide range of procedural, consultative, and analytical actions on the part of the agencies. Federal agencies sometimes take years to develop final rules, and the requirements are not as effective as expected or as they could be. This lack of effectiveness can be traced to how the requirements have been implemented and the requirements themselves."

Testimony issued by the General Accounting Office with an abstract that begins "Medicare provides valuable and extensive health care coverage for 40 million elderly and disabled beneficiaries. Nevertheless, significant gaps leave some beneficiaries vulnerable to sizeable out-of-pocket expenses. Medicare provides no limit on out-of-pocket spending and no coverage for most outpatient prescription drugs. Most beneficiaries have supplemental coverage that helps to fill Medicare coverage gaps and pay some out-of-pocket expenses. Privately purchased Medigap policies are a widely available source of supplemental coverage. The other sources--employer-sponsored policies, Medicare + Choice plans, and Medicaid--are not available to all beneficiaries. Medigap policies help to fill in some of Medicare's gaps but also have shortcomings. In 1999, premiums paid for Medigap policies averaged $1,300, with more than 20 percent going to administrative costs. Medigap plans typically cover Medicare's required deductibles, coinsurance, and copayments but do not fully protect beneficiaries from potentially significant out-of-pocket costs. Medigap policies offering prescription drug coverage can be inadequate because beneficiaries still pay most of the cost and the Medigap benefit is capped."

Testimony issued by the General Accounting Office with an abstract that begins "Pursuant to a congressional request, GAO discussed its recent reports on the status of key census taking operations, focusing on such essential activities as: (1) outreach and promotion; (2) field follow-up operations; and (3) data capture."

Testimony issued by the General Accounting Office with an abstract that begins "The Peruvian government has acted decisively to address the serious problems that affected last year's elections. President Paniagua's administration has committed itself to ensuring the neutrality of the government and the armed forces during the upcoming elections, including prohibiting the use of government resources for political purposes. Also, the government has named new leaders to two electoral agencies--those responsible for overseeing and implementing the elections--and these leaders have emphasized their full commitment to conducting free and fair elections. The Agency for International Development's election-related assistance has been timely, responsive, and coordinated with other donors, and has been responsive to Peru's needs by funding electoral observation efforts before and during the elections; supporting technical assistance efforts to the Peruvian electoral agencies; and funding the delivery of election-related information to voters, journalists, candidates, and political parties. In addition, the agency has coordinated its election-related assistance with the other international donors that are also helping Peru hold democratic elections in 2001. Although Peru appears to be on track to conduct free and fair elections in 2001, Peru faces several important challenges over the next 3-1/2 weeks before the first round of …

Testimony issued by the General Accounting Office with an abstract that begins "Pursuant to a congressional request, GAO discussed its effort to study the use of slotting fees in the grocery industry, focusing on GAO's: (1) planned approach and methodology; and (2) reasons for not being able to perform the study."

Testimony issued by the General Accounting Office with an abstract that begins "Pursuant to a congressional request, GAO discussed the circumstances surrounding the Los Alamos wildfire, focusing on: (1) the events leading up to the prescribed fire and how it was managed; and (2) what fire management policies or practices need to be improved."

Testimony issued by the General Accounting Office with an abstract that begins "Congress implemented a physician fee schedule and a fee update formula to moderate spending growth relative to specified Medicare spending targets. These spending targets increase annually to reflect higher costs for physician services, the growth in the overall economy, and changes in the number of Medicare beneficiaries. Physician fees are adjusted for changes in the costs of providing services and on actual cumulative spending compared to the cumulative targets. Physician fees are updated to reflect higher costs to provide services. These updates are adjusted up or down on actual spending either falling below or exceeding the targets. In November 2001, the Centers for Medicare and Medicaid announced that updating Medicare's fees will decline 5.4 percent from what was paid in 2001, despite an estimated 2.6 percent increase in the cost of physician inputs. This reduction accounts for historical cumulative spending that exceeded the target by $8.9 billion, or 13 percent of estimated 2002 spending. Several factors contributed to the disparity between actual and targeted spending, including the correction of substantial errors in past spending estimates and the revision of targets for prior years. The current update mechanism could …

Testimony issued by the General Accounting Office with an abstract that begins "In some cases, Medicare pays significantly more for covered outpatient drugs than the actual costs to the physicians and pharmacy suppliers. Attempts to reduce these payments have been met with provider claims that overpayments for the drugs are needed to cover underpayments for administering or delivering them. Medicare's method for establishing drug payments is flawed. Medicare pays 95 percent of the average wholesale price (AWP), which, despite its name, is neither an average nor a price that wholesalers charge. Instead, it is a number that manufacturers derive using their own criteria. There are no requirements or conventions that AWP reflect the price of actual drug sales. Widely available purchase prices for drugs in 2001 were substantially below AWP. For both physician-billed drugs and pharmacy supplier-billed drugs, Medicare payments often far exceeded widely available prices. Physicians and pharmacy suppliers contend that the excess payments for covered drugs are necessary to offset what they claim are inappropriately low Medicare payments or no such payments for services related to the administration or delivery of these drugs. Although physicians receive an explicit payment for administering drugs, Medicare's payment policies for delivering pharmacy …

Testimony issued by the General Accounting Office with an abstract that begins "Pursuant to a congressional request, GAO discussed the circumstances surrounding the Los Alamos wildfire, focusing on: (1) the events leading up to the prescribed fire and how it was managed; and (2) what fire management policies or practices need to be improved."

Testimony issued by the General Accounting Office with an abstract that begins "In light of the fourth anniversary of the Internal Revenue Service (IRS) Restructuring and Reform Act of 1998, which established Congress' expectation that IRS modernize to better meet taxpayer needs, GAO gave an overview of IRS's current performance and resources and then assessed the progress that IRS has made modernizing and the risks to continued progress. Overall, IRS has seen increased workload, decreased staffing, and significant changes in the allocation of resources between taxpayer assistance programs and its compliance and collection programs. Between 1995 and 2001, IRS's workload, measured by returns filed, increased by 10 percent while aggregate staffing declined by 14 percent. Over the same time, there was a significant internal reallocation of resources with a disproportionate decline in compliance and collection program staffing to accommodate more emphasis on taxpayer service, such as telephone assistance, and to information systems operation and investment. Electronic filing of returns increased but not enough to reduce paper returns sufficiently to free significant processing resources for use elsewhere. The reallocation of resources shows signs of beginning to produce more accurate service for taxpayers, but the compliance and collection programs have seen large …

Testimony issued by the General Accounting Office with an abstract that begins "This testimony discusses fluid milk prices and the factors that impact them. GAO found that although the farm price of milk has some influence on the retail price, other factors may ultimately have a greater impact on the retail price. Given that farm prices account only for about 40 percent of the retail price, other factors, such as wholesale processing costs and retail pricing strategies, can significantly influence the retail price. This testimony summarized an October 1998 report (GAO/RCED-99-4)."

Testimony issued by the General Accounting Office with an abstract that begins "Three years ago, the Department of Veterans Affairs (VA) characterized hepatitis C as a serious national health problem that needs early detection to reduce transmission risks, ensure timely treatment, and prevent progression of liver disease. In a 1988 letter, VA outlined the process clinicians should use when (1) screening veterans for known risk factors for exposure to hepatitis C and (2) ordering tests to detect antibodies and diagnose hepatitis C infection as part of a plan to evaluate and assess risk factors for VA patients. This testimony discusses VA's progress in screening and testing veterans for hepatitis C during fiscal years 1999 and 2000. GAO found that VA missed opportunities to screen as many as three million veterans when they visited medical facilities during fiscal years 1999 and 2000, potentially leaving as many as 200,000 veterans unaware that they have hepatitis C infections. Of those screened, an unknown number likely remain undiagnosed because of flawed procedures. Although the pace of screening and testing appears to be improving, many currently undiagnosed veterans may not be identified expeditiously unless VA (1) establishes early detection of hepatitis C as a standard …

Testimony issued by the General Accounting Office with an abstract that begins "Pursuant to a congressional request, GAO discussed its recent reports concerning the Department of Energy's (DOE) and the National Nuclear Security Administration's (NNSA) security programs to protect against theft, sabotage, espionage, terrorism, and other risks to national security at its facilities, focusing on: (1) oversight of safeguards and security programs at DOE; and (2) security issues with NNSA."

Testimony issued by the General Accounting Office with an abstract that begins "Pursuant to a congressional request, GAO discussed the implementation of the Endangered Species Act by the Fish and Wildlife Service's (FWS) field office in Carlsbad, California, focusing on: (1) how the Carlsbad office tracks its workload of consultations and habitat conservation plans (HCP); (2) to what extent the office is complying with FWS guidelines for completing formal consultations and HCP processing; and (3) the causes for delay when time frames are exceeded."

Testimony issued by the General Accounting Office with an abstract that begins "Pursuant to a congressional request, GAO discussed the contractual relationship between the Department of Defense (DOD) and BioPort Corporation for production of the anthrax vaccine, focusing on: (1) the financial assistance DOD provided BioPort in 1999; and (2) additional financial assistance DOD is providing BioPort in 2000."

Testimony issued by the General Accounting Office with an abstract that begins "Identity theft involves "stealing" another person's personal identifying information, such as their Social Security Number (SSN), date of birth, or mother's maiden name, and using it to fraudulently establish credit, run up debt, or take over existing financial accounts. The prevalence and cost of identity theft seem to be increasing. Recently introduced bills seek to prevent identity theft and enforce laws prohibiting identity theft. Since May 1998, various actions--particularly passage of federal and state statutes--have been taken to address identity theft. Precise, statistical measurement of identity theft trends is difficult for several reasons. Federal law enforcement agencies lack information systems to track identity theft cases. Also, identity theft almost always accompanies white-collar or financial crimes, such as bank fraud, credit card or access device fraud, or the use of counterfeit financial instruments. Data sources, such as consumer complaints and hotline allegations, can be used as proxies for gauging the prevalence of identity theft. Law enforcement investigations and prosecutions of identity theft-related crimes, such as bank and credit card fraud, also provide data."

A letter report issued by the General Accounting Office with an abstract that begins "The events of September 11, 2001, triggered a national re-examination of the security of thousands of industrial facilities that use or store hazardous chemicals in quantities that could potentially put large numbers of Americans at risk of serious injury or death in the event of a terrorist-caused chemical release. GAO was asked to examine (1) available information on the threats and risks from terrorism faced by U.S. chemical facilities; (2) federal requirements for security preparedness and safety at facilities; (3) actions taken by federal agencies to assess the vulnerability of the industry; and (4) voluntary actions the chemical industry has taken to address security preparedness, and the challenges it faces in protecting its assets and operations."

A letter report issued by the General Accounting Office with an abstract that begins "Pursuant to a congressional request, GAO provided information on TRICARE centralized appointment scheduling, focusing on the: (1) proportion of appointments scheduled by TRICARE contractors for beneficiaries in the four TRICARE regions with centralized systems; and (2) factors that affect the contractors' ability to schedule appointments."